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Culver, Union Reach Agreement to Save Jobs

By Becky Ogann

Story Created: Nov 9, 2009 at 1:33 PM CDT

Story Updated: Nov 9, 2009 at 7:30 PM CDT

DES MOINES (AP) - The state and its largest employee union have reached an agreement calling for workers to take five unpaid furlough days to protect hundreds of jobs that would have been cut as part of a 10 percent budget reduction ordered by Gov. Chet Culver.

In addition, a deferred compensation program the state offers will be suspended.

Culver's office and Council 61 of the American Federation of State, County and Municipal Employees announced the deal Monday. The two actions will save the state $26.4 million and allow officials to keep 479 jobs.

The agreement still must be approved by union members.

When Culver announced the budget cuts last month, officials said it could cost up to 1,300 jobs. Negotiations have been held with the union since then to avoid some of those job losses.

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